Google faces bid to certify class action over alleged tax data tracking

Google privacy class action overview:

• Who: A group of online tax filers asked a federal judge to certify several classes in their lawsuit against Google LLC.
• Why: Plaintiffs claim Google unlawfully intercepted and collected confidential tax return information through Google Analytics embedded on tax preparation websites.
• Where: The Google class action lawsuit is pending in California federal court.

Consumers suing Google over its alleged collection of confidential tax return information are asking a federal court to certify several nationwide and state classes in a proposed privacy class action lawsuit.

Plaintiffs allege Google used its Google Analytics technology to collect consumers’ sensitive tax return information from the TaxAct and TaxSlayer websites without first obtaining consumers’ consent.

According to the class certification motion, Google’s alleged conduct violated the federal Wiretap Act, the California Invasion of Privacy Act and the Florida Security of Communications Act.

The proposed nationwide class would include individuals who completed preparation of their federal tax returns on the TaxAct website from Jan. 10, 2018, through the present or on the TaxSlayer website from Feb. 1, 2013, through the present. Plaintiffs also seek certification of California and Florida subclasses for state law claims.

“Google’s collection of this cornucopia of information without consent is in clear violation of numerous statutes,” the class action motion says.

The motion asks the court to appoint Tiffany Layton, Jamila Armstrong, Joseph Sebastian Nino and Tracylyn Patterson as class representatives and to appoint Hecht Partners LLP and Bursor & Fisher P.A. as class counsel.

Similar lawsuit against Meta over tax-site tracking backs Google certification bid

Plaintiffs in the Google class action certification argue that a similar case, also filed in California federal court, alleged Meta used tracking tools to improperly collect tax return information from tax-preparation websites.

According to Law360, the Google class action lawsuit was originally filed by Mary L. Smith in July 2023, alleging H&R Block’s website transmitted her confidential tax information to Google through Google Analytics. Additional plaintiffs later alleged similar conduct involving TaxAct and TaxSlayer, and the lawsuits were consolidated.

In June 2024, the court denied Google’s motion to dismiss, finding the plaintiffs had plausibly alleged Google did more than simply provide analytics software to third-party websites.

Plaintiffs now argue the proposed classes satisfy the requirements for class certification because Google’s alleged data collection practices affected consumers in substantially the same manner.

Google denies the allegations and has argued it merely provides analytics tools to website operators rather than intercepting communications.

Meanwhile, Google and AdMob agreed to pay $8.25 million to resolve claims they collected, used and disclosed the personal information of children younger than 13 without parental consent in violation of federal and state laws.

What do you think about the claims made against Google in this privacy lawsuit? Let us know in the comments.

The plaintiffs are represented by Lori G. Feldman, Michael Liskow and Rebecca A. Peterson of Hecht Partners LLP; Neal J. Deckant of Bursor & Fisher P.A.; Kate M. Baxter-Kauf of Lockridge Grindal Nauen PLLP; Marshal J. Hoda of The Hoda Law Firm PLLC; Patrick Yarborough of Foster Yarborough Killingsworth PLLC; John G. Emerson of Emerson Firm PLLC; and Joel D. Smith of Smith Krivoshey P.C.

The Google privacy class action lawsuit is Smith, et al. v. Google LLC, Case No. 5:23-cv-03527, consolidated with Case No. 5:23-cv-04191, in the U.S. District Court for the Northern District of California.

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